ART Bobby Y Hutama Birgita D Sarawati Hubungan kausalitas antara nilai Abstract
“Hubungan Kausalitas antara Nilai Tukar dan Inflasi
di Indonesia selama periode 2001 -2010”
Bobby Yuga Hutama
(Alumni FEB Universitas Kristen Satya Wacana )
Birgitta Dian Saraswati
(Staf Pengajar FEB Universitas Kristen Satya Wacana )
Abstract
Indonesia is a small open economy, and has a monetary policy strategy of targeting inflation in
consumer prices. In this paper, we look at the evidence from the Indonesia on inflation
behaviour, and examine the propositions from several theoretical models about inflation
dynamics in an open economy, focussing in particular on the hypothesised connections between
the exchange rate and consumer price inflation.The objective of this research is to find out
whether the relationship between inflation and exchange rate in Indonesia data during the
period of 2001-2010.
The method of analysis used in the study is Granger Causality Model to examine the interaction
between inflation and the exchange rate in the Indonesia. The results show that the Granger
causality between inflation and the exchange rate is bidirectional.
Key words : Inflation, exchange rate, Granger causality test, Indonesia
di Indonesia selama periode 2001 -2010”
Bobby Yuga Hutama
(Alumni FEB Universitas Kristen Satya Wacana )
Birgitta Dian Saraswati
(Staf Pengajar FEB Universitas Kristen Satya Wacana )
Abstract
Indonesia is a small open economy, and has a monetary policy strategy of targeting inflation in
consumer prices. In this paper, we look at the evidence from the Indonesia on inflation
behaviour, and examine the propositions from several theoretical models about inflation
dynamics in an open economy, focussing in particular on the hypothesised connections between
the exchange rate and consumer price inflation.The objective of this research is to find out
whether the relationship between inflation and exchange rate in Indonesia data during the
period of 2001-2010.
The method of analysis used in the study is Granger Causality Model to examine the interaction
between inflation and the exchange rate in the Indonesia. The results show that the Granger
causality between inflation and the exchange rate is bidirectional.
Key words : Inflation, exchange rate, Granger causality test, Indonesia